Candlestick patterns are technical patterns that come up on candlestick charts. Their appearance is typically an indication of an emerging bullish or bearish trend. As a result, candle patterns can be used as indicators to buy and sell assets.
The 'Pattern Block' helps identify the emergence of a candlestick pattern and using it traders can create conditions on 80+ patterns.
To use the pattern block the user drags the block onto the canvas and double-clicks to edit.
Start off by searching for a pattern.
Once a user selects a pattern, the edit dialog of the block opens up with the below sections
Pattern Type
Each candlestick pattern can have a bullish representation or a bearish representation.
Selecting a 'Bullish' version means that the user is looking to get an indication on when the trend is bullish and vice versa for 'Bearish'
Advanced parameters
The compare block has ‘Candle History’ as advance inputs. There might be other advanced parameters also depending on the pattern.
Sample strategy conditions:
Below are a few examples of how a strategy condition can be set up
Condition 1:
Trigger an event when the 'Bullish Marubozu' pattern appears
Condition 2:
Trigger an event when the 'Abandoned Baby' pattern shows up 2 candles ago in a bearish form.
Join Mudrex, and start creating your trading strategies in our no-code builder.